The
latest report by IHS Markit revealed on Wednesday the seasonally adjusted IHS
Markit final U.S. Manufacturing Purchasing Managers’ Index (PMI) came in at 58.3
in December 2020, down from 58.4 in October and below the earlier released
“flash” estimate of 59.1. The November reading pointed to the slowest growth in U.S. factory activity since December 2020.
Economists
had forecast the index to stay unrevised at 59.1.
According
to the report, the November slip in headline figure reflected slower new orders
growth, the pace of which eased to the lowest so far this year. In addition, the
pace of job creation slowed during the month due to difficulties with filling
vacancies. On the price front, the rate of cost inflation hit a fresh series
high, bolstered by supplier shortages and higher energy prices, while the pace
of growth in prices charged weakened to a three-month low amid signs of push-back to increased prices from customers.